1.1.................... moves to amend H.F. No. 1657, the delete everything amendment
1.2(H1657DE1), as follows:
1.3Page 56, after line 21, insert:


1.6    Section 1. Minnesota Statutes 2008, section 352.90, is amended to read:
1.7352.90 POLICY.
1.8It is the policy of the legislature to provide special retirement benefits for and special
1.9contributions by certain correctional employees who may be required to retire at an early
1.10age because they lose the mental or physical capacity required to maintain the safety,
1.11security, discipline, and custody of inmates at state correctional facilities or, of patients at
1.12the Minnesota Security Hospital, or of patients in the Minnesota sex offender program, or
1.13of patients in the Minnesota extended treatment options program.

1.14    Sec. 2. Minnesota Statutes 2008, section 352.91, subdivision 1, is amended to read:
1.15    Subdivision 1. Qualifying jobs. "Covered correctional service" means service
1.16performed by a state employee, as defined in section 352.01, who is employed at a state
1.17correctional facility, the Minnesota Security Hospital, or the Minnesota sex offender
1.18program as:
1.19(1) a corrections officer 1;
1.20(2) a corrections officer 2;
1.21(3) a corrections officer 3;
1.22(4) a corrections officer supervisor;
1.23(5) (4) a corrections lieutenant;
1.24(6) (5) a corrections captain;
1.25(7) (6) a security counselor;
1.26(8) (7) a security counselor lead; or
2.1(9) (8) a corrections canine officer.;
2.2(9) group supervisor; or
2.3(10) group supervisor assistant.

2.4    Sec. 3. Minnesota Statutes 2008, section 352.91, subdivision 3h, is amended to read:
2.5    Subd. 3h. Employment occupation name changes. (a) If the occupational title of a
2.6state employee covered by the Minnesota correctional employees retirement plan changes
2.7from the applicable title listed in subdivision 1, 2, 2a, 3c, 3d, 3e, 3f, or 3g, qualification for
2.8coverage by the correctional state employees retirement plan continues until the July 1
2.9next following the title change if the commissioner of finance certifies to the executive
2.10director of the Minnesota State Retirement System and to the executive director of the
2.11Legislative Commission on Pensions and Retirement that the duties, requirements, and
2.12responsibilities of the new occupational title are substantially identical to the duties,
2.13requirements, and responsibilities of the prior occupational title.
2.14(b) If the commissioner of finance does not certify a new occupational title under
2.15paragraph (a), eligibility for future correctional state employees retirement coverage
2.16terminates as of the start of the first payroll period next following the effective date of the
2.17occupational title change.
2.18(c) For consideration by the Legislative Commission on Pensions and Retirement
2.19during the legislative session next following an occupational title change involving a state
2.20employee in covered correctional service, the commissioner of finance shall submit the
2.21applicable draft proposed legislation reflecting the occupational title change covered
2.22by this section.

2.23    Sec. 4. REPEALER.
2.24Minnesota Statutes 2008, section 352.91, subdivisions 2, 2a, 3c, 3d, 3e, 3f, 3g, 3i,
2.254a, 4b, and 5, are repealed.

2.26    Sec. 5. EFFECTIVE DATE.
2.27Sections 1 to 4 are effective July 1, 2009, but do not apply to persons holding
2.28eligible positions prior to the effective date.


2.31    Section 1. Minnesota Statutes 2008, section 352.72, subdivision 1, is amended to read:
2.32    Subdivision 1. Entitlement to annuity. (a) Except as provided in paragraph (b), any
2.33person who has been an employee covered by a retirement system listed in paragraph (b)
3.1(c) is entitled when qualified to an annuity from each fund if total allowable service in all
3.2funds or in any two of these funds totals three or more years.
3.3(b) If the combination of retirement plans includes the correctional state employees
3.4retirement plan of the Minnesota State Retirement System, no retirement annuity is
3.5payable from the correctional state employees retirement plan unless the person has credit
3.6for at least ten years of covered correctional service under section 352.91, although any
3.7covered correctional service may be used to establish eligibility for an annuity from
3.8another retirement plan and a service credit transfer under section 352.93, subdivision
3.94a, may be elected.
3.10(c) This section applies to the Minnesota State Retirement System, the Public
3.11Employees Retirement Association including the Public Employees Retirement
3.12Association police and fire fund, the Teachers Retirement Association, the State Patrol
3.13Retirement Association, or any other public employee retirement system in the state with
3.14a similar provision, except as noted in paragraph (c) (d).
3.15(c) (d) This section does not apply to other funds providing benefits for police
3.16officers or firefighters under chapter 423A, 423B, or 424A.
3.17(d) (e) No portion of the allowable service upon which the retirement annuity from
3.18one fund is based shall be again used in the computation for benefits from another fund.
3.19No refund may have been taken from any one of these funds since service entitling the
3.20employee to coverage under the system or the employee's membership in any of the
3.21associations last terminated. The annuity from each fund must be determined by the
3.22appropriate provisions of the law except that the requirement that a person must have at
3.23least three years allowable service in the respective system or association does not apply
3.24for the purposes of this section if the combined service in two or more of these funds
3.25equals three or more years.

3.26    Sec. 2. Minnesota Statutes 2008, section 352.93, subdivision 1, is amended to read:
3.27    Subdivision 1. Basis of annuity; when to apply. After separation from state
3.28service, an employee covered under section 352.91 who has reached age 55 years and
3.29has credit for at least three ten years of covered correctional service or a combination
3.30of covered correctional service and general employees state retirement plan service is
3.31entitled upon application to a retirement annuity under this section, based only on covered
3.32correctional employees' service. Application may be made no earlier than 60 days before
3.33the date the employee is eligible to retire by reason of both age and service requirements.

3.34    Sec. 3. Minnesota Statutes 2008, section 352.93, subdivision 2a, is amended to read:
4.1    Subd. 2a. Early retirement. Any covered correctional employee who becomes at
4.2least 50 years old and who has at least three ten years of allowable covered correctional
4.3service is entitled upon application to a reduced retirement annuity equal to the annuity
4.4calculated under subdivision 2, reduced by two-tenths of one percent for each month that
4.5the correctional employee is under age 55 at the time of retirement.

4.6    Sec. 4. Minnesota Statutes 2008, section 352.93, subdivision 4, is amended to read:
4.7    Subd. 4. Employee with regular and correctional service. A former employee
4.8who has both regular and correctional service shall, if the employee has at least ten years
4.9of covered correctional service and is otherwise qualified, receive an annuity based on
4.10both periods of service under applicable sections of law but no period of service shall be
4.11used more than once in calculating the annuity.

4.12    Sec. 5. Minnesota Statutes 2008, section 352.93, is amended by adding a subdivision
4.13to read:
4.14    Subd. 4a. Service credit transfer and partial refund in certain instances. An
4.15employee covered under section 352.91 who has reached the age of 55 years and who has
4.16credit for less than ten years of covered correctional service may, upon written application,
4.17have that covered correctional service credited as allowable service credit in the general
4.18state employees retirement plan and used to calculate a retirement annuity under sections
4.19352.115 and 352.116, and receive, 30 days following retirement, a refund of that portion
4.20of employee contributions during covered correctional service under section 352.92,
4.21subdivision 1, that exceeds the employee contributions required under the general state
4.22employees retirement plan under section 352.04, subdivision 2, for the same period, plus
4.23annual compound interest on the partial refund amount from the date of each contribution
4.24until the date of refund payment at the rate of six percent.

4.25    Sec. 6. Minnesota Statutes 2008, section 356.30, subdivision 1, is amended to read:
4.26    Subdivision 1. Eligibility; computation of annuity. (a) Notwithstanding any
4.27provisions of the laws governing the retirement plans enumerated in subdivision 3, a
4.28person who has met the qualifications of paragraph (b) may elect to receive a retirement
4.29annuity from each enumerated retirement plan, other than the correctional state employees
4.30retirement plan of the Minnesota State Retirement System, in which the person has at least
4.31one-half year of allowable service, based on the allowable service in each plan, subject to
4.32the provisions of paragraph (c).
4.33(b) A person may receive, upon retirement, a retirement annuity from each
4.34enumerated retirement plan, other than the correctional state employees retirement plan of
5.1the Minnesota State Retirement System, in which the person has at least one-half year of
5.2allowable service, and augmentation of a deferred annuity calculated at the appropriate
5.3rate under the laws governing each public pension plan or fund named in subdivision 3,
5.4based on the date of the person's initial entry into public employment from the date the
5.5person terminated all public service if:
5.6(1) the person has allowable service totaling an amount that allows the person to
5.7receive an annuity in any two or more of the enumerated plans; and
5.8(2) the person has not begun to receive an annuity from any enumerated plan or the
5.9person has made application for benefits from each applicable plan and the effective
5.10dates of the retirement annuity with each plan under which the person chooses to receive
5.11an annuity are within a one-year period.
5.12(c) The retirement annuity from each plan must be based upon the allowable service,
5.13accrual rates, and average salary in the applicable plan except as further specified or
5.14modified in the following clauses:
5.15(1) the laws governing annuities must be the law in effect on the date of termination
5.16from the last period of public service under a covered retirement plan with which the
5.17person earned a minimum of one-half year of allowable service credit during that
5.18employment;
5.19(2) the "average salary" on which the annuity from each covered plan in which
5.20the employee has credit in a formula plan must be based on the employee's highest five
5.21successive years of covered salary during the entire service in covered plans;
5.22(3) the accrual rates to be used by each plan must be those percentages prescribed by
5.23each plan's formula as continued for the respective years of allowable service from one
5.24plan to the next, recognizing all previous allowable service with the other covered plans;
5.25(4) the allowable service in all the plans must be combined in determining eligibility
5.26for and the application of each plan's provisions in respect to reduction in the annuity
5.27amount for retirement prior to normal retirement age; and
5.28(5) the annuity amount payable for any allowable service under a nonformula plan
5.29of a covered plan must not be affected, but such service and covered salary must be used
5.30in the above calculation.; and
5.31(6) for a person who was a member of the correctional state employees retirement
5.32plan, the person must have at least ten years of covered correctional service under section
5.33352.91 in order to receive a retirement annuity from that plan, but may apply for a service
5.34credit transfer and partial refund under section 352.93, subdivision 4a.
5.35(d) This section does not apply to any person whose final termination from the last
5.36public service under a covered plan was before May 1, 1975.
6.1(e) For the purpose of computing annuities under this section, the accrual rates
6.2used by any covered plan, except the public employees police and fire plan, the judges
6.3retirement fund, and the State Patrol retirement plan, must not exceed the percent specified
6.4in section 356.315, subdivision 4, per year of service for any year of service or fraction
6.5thereof. The formula percentage used by the judges retirement fund must not exceed the
6.6percentage rate specified in section 356.315, subdivision 8, per year of service for any
6.7year of service or fraction thereof. The accrual rate used by the public employees police
6.8and fire plan and the State Patrol retirement plan must not exceed the percentage rate
6.9specified in section 356.315, subdivision 6, per year of service for any year of service or
6.10fraction thereof. The accrual rate or rates used by the legislators retirement plan must not
6.11exceed 2.5 percent, but this limit does not apply to the adjustment provided under section
6.123A.02, subdivision 1 , paragraph (c).
6.13(f) Any period of time for which a person has credit in more than one of the covered
6.14plans must be used only once for the purpose of determining total allowable service.
6.15(g) If the period of duplicated service credit is more than one-half year, or the person
6.16has credit for more than one-half year, with each of the plans, each plan must apply its
6.17formula to a prorated service credit for the period of duplicated service based on a fraction
6.18of the salary on which deductions were paid to that fund for the period divided by the total
6.19salary on which deductions were paid to all plans for the period.
6.20(h) If the period of duplicated service credit is less than one-half year, or when
6.21added to other service credit with that plan is less than one-half year, the service credit
6.22must be ignored and a refund of contributions made to the person in accord with that
6.23plan's refund provisions.

6.24    Sec. 7. EFFECTIVE DATE.
6.25Sections 1 to 6 are effective July 1, 2009, but do not apply to persons holding
6.26eligible positions prior to the effective date."
6.27Adjust the spreadsheet to reflect the cost savings
6.28Renumber the sections in sequence and correct the internal references
6.29Amend the title accordingly